Calgary demand remains weak but at least listings are easing

Calgary demand remains weak but at least listings are easing

The housing market in Calgary continues to face challenges with demand remaining weak and inventory still too high.

April citywide sales were up 2% year-over-year to 1,547 driven by a 2.65% increase in single-family home sales (930) although this sector’s sales were 24% below year-ago levels. Sales of apartments declined 3.83% compared to April 2018 while attached home sales gained 5.48%.

Calgary Real Estate Board figures show that new listings fell more than 12% and inventory was down almost 4% to 7,063. While the market remains oversupplied at 4.6 months of inventory, this is well below the near-7 months of supply seen at the start of 2019.

“Demand remains relatively weak in the resale market. However, if supply levels continue to adjust, this could help reduce the amount of oversupply and eventually support some price stability,” said CREB® chief economist Ann-Marie Lurie.

Benchmark prices in April were:

All types: $415,900 (down 4.74% year-over-year)

Single-family: $478,700 (down 4.98% year-over-year)

Apartments: $250,400 (down 2.49% year-over-year)

Attached: $314,800 (down 5.21% year-over-year)

Year-to-date sales remain nearly 6% lower than last year and are 26% below longer-term averages.

“Sales have been improving mostly in the lower price ranges, causing tighter supply conditions in that segment. This will likely have a different impact on price trends in the lower price ranges depending on location,” said Lurie.